New AI-powered alert system to warn drivers of approaching wildlife

AI continues to face criticism for its apparent lack of intelligence despite massive investments and widespread adoption. In a recent op-ed published by The Age and The Sydney Morning Herald, a contributor expressed frustration over AI's inability to grasp basic human logic, citing instances where the technology generates misleading content and facilitates scams. The piece highlights how AI, despite its capabilities in areas such as coding and medical research, often produces output that seems naive or overly enthusiastic, failing to recognize context or nuance. The author recounts receiving numerous unsolicited emails from AI-driven systems claiming to represent book clubs or literary festivals. These messages praise the author's works with excessive flattery, sometimes even referencing specific characters and plot points. One particularly absurd example involved a book titled Leonidas, A Poem, Vol. 2, which the AI described as a masterpiece celebrating ancient Greek values. However, the email mistakenly attributed the work to Richard Glover, a British poet who died in 1785—clearly not the intended recipient. This glaring error underscores the AI's inability to distinguish between real and fictional individuals, raising concerns about the reliability of such automated communications. Beyond literary scams, the issue extends to financial fraud. According to SBS News, Australia has seen a surge in "pump and dump" schemes, where scammers use AI to create convincing endorsements of fake or thinly-traded stocks. In just two weeks, 16 Australians reportedly lost over $2.7 million to these scams. The Australian Securities and Investments Commission (ASIC) warns that AI is enabling scammers to generate realistic-looking videos of respected financial experts, making it harder for victims to discern authenticity. Older Australians, who often hold substantial savings, are particularly vulnerable. ASIC Commissioner Alan Kirkland emphasized that AI is accelerating these fraudulent activities, allowing scammers to manipulate public perception with greater ease. He noted that while traditional investment scams often involve non-existent assets, modern schemes target real stocks, creating a false sense of legitimacy. In one case, a stock price soared to $15.70 before crashing to $1.40, leaving investors with significant losses. The scale of financial loss has grown dramatically, with Australians losing $837.7 million to investment scams in 2025 alone. Industry leaders, including Tom Piotrowski of NAB, have voiced dismay over the misuse of their likenesses in these scams. Piotrowski called the situation "heartbreaking," noting the irony of spending time educating the public about responsible investing only to see it exploited by fraud. He stressed the importance of maintaining trust in financial advice and warned against engaging with unknown individuals offering investment opportunities. To protect themselves, consumers are advised to remain skeptical of unsolicited investment recommendations, especially those involving celebrities or financial experts. Joining private forums or chat groups on platforms like WhatsApp should raise immediate suspicion. Experts recommend verifying the credibility of any advisor and thoroughly researching the investment opportunity before committing funds. The government's Moneysmart initiative also urges caution, emphasizing the dangers of impulsive decision-making in the face of pressure. As AI becomes increasingly integrated into everyday life, its potential for misuse remains a pressing concern. While it offers valuable tools in certain domains, its current limitations in understanding context, recognizing errors, and distinguishing truth from fiction highlight the need for continued vigilance. The ongoing rise in scams, both in literature and finance, serves as a stark reminder that technological advancement must be accompanied by robust safeguards to prevent exploitation.